Head-To-Head Survey: Wells Fargo & Company (NYSE:WFC) vs. Siebert Financial (NASDAQ:SIEB)

Wells Fargo & Company (NYSE:WFC) and Siebert Financial (NASDAQ:SIEB) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their risk, institutional ownership, profitability, earnings, valuation, analyst recommendations and dividends.

Profitability

This table compares Wells Fargo & Company and Siebert Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Wells Fargo & Company	17.26%	13.27%	1.05%
Siebert Financial	5.44%	5.61%	0.83%

Valuation and Earnings

This table compares Wells Fargo & Company and Siebert Financial”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Wells Fargo & Company	$123.53 billion	1.87	$21.34 billion	$6.48	11.66
Siebert Financial	$94.20 million	0.77	$5.12 million	$0.13	13.62

Wells Fargo & Company has higher revenue and earnings than Siebert Financial. Wells Fargo & Company is trading at a lower price-to-earnings ratio than Siebert Financial, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Wells Fargo & Company has a beta of 0.96, suggesting that its stock price is 4% less volatile than the S&P 500. Comparatively, Siebert Financial has a beta of 0.9, suggesting that its stock price is 10% less volatile than the S&P 500.

Institutional and Insider Ownership

75.9% of Wells Fargo & Company shares are owned by institutional investors. Comparatively, 1.5% of Siebert Financial shares are owned by institutional investors. 0.1% of Wells Fargo & Company shares are owned by insiders. Comparatively, 46.0% of Siebert Financial shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current recommendations and price targets for Wells Fargo & Company and Siebert Financial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Wells Fargo & Company	0	10	14	2	2.69
Siebert Financial	1	0	0	0	1.00

Wells Fargo & Company currently has a consensus price target of $97.53, suggesting a potential upside of 29.05%. Given Wells Fargo & Company’s stronger consensus rating and higher possible upside, equities analysts clearly believe Wells Fargo & Company is more favorable than Siebert Financial.

Summary

Wells Fargo & Company beats Siebert Financial on 13 of the 15 factors compared between the two stocks.

About Wells Fargo & Company

Wells Fargo & Co. is a diversified and community-based financial services company, which engages in the provision of banking, insurance, investments, mortgage, and consumer and commercial finance products and services. It operates through the following segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth and Investment Management. The Consumer Banking and Lending segment offers consumer and small business banking, home lending, credit cards, auto, and personal lending. The Commercial Banking segment provides banking and credit products across industry sectors and municipalities, secured lending and lease products, and treasury management. The Corporate and Investment Banking segment is composed of corporate banking, investment banking, treasury management, commercial real estate lending and servicing, and equity and fixed income solutions, as well as sales, trading, and research capabilities. The Wealth and Investment Management segment refers to personalized wealth management, brokerage, financial planning, lending, private banking, trust, and fiduciary products and services. The company was founded by Henry Wells and William G. Fargo on March 18, 1852 and is headquartered in San Francisco, CA.

About Siebert Financial

Siebert Financial Corp., through its subsidiaries, engages in the retail brokerage and investment advisory businesses in the United States and Internationally. It offers self-directed trading, market making and fixed income investment, stock borrow, stock loan, equity compensation plans, wealth management, and financial advisory services; independent retail execution services; and retail customer services. The company also offers self-directed retirement accounts, as well as lends customers a portion of the market value of marginable securities held in the customer's account. In addition, the company provides data technology platform that offers various services, such as email and messaging, market data systems and third party trading systems, business productivity tools, and customer relationship management systems. Further, it offers a Robo-Advisor platform that provides clients with an automated wealth management solution; and various insurance products, such as fixed annuities, personal insurance, property and casualty insurance, natural disaster insurance, and life and disability. Siebert Financial Corp. was incorporated in 1934 and is headquartered in Miami Beach, Florida.